The Central Bank of Russia published an analytical commentary based on credit history bureau data showing that the total number of borrowers served by banks and microfinance organisations fell by 0.5 million over 2024 H2 to slightly above 50 million, alongside signs of reduced household over-indebtedness. The update links the shift to changes in banks’ retail lending practices, including smaller and shorter cash loans. Average cash loan amounts decreased by 20%, while the share of loans with maturities of up to one year increased by 13 percentage points to 21%. In 2024 Q4, the number of borrowers with the highest debt burden and at least three loans declined by 0.5 million, although over-indebted borrowers still account for around half of outstanding retail loans. Mortgage borrower numbers were stable at 10.2 million, with fewer mortgages issued with maturities beyond 30 years and a lower share of borrowers taking out a consumer loan before applying for a mortgage, suggesting down payments were less often funded with borrowed money.
Central Bank of Russia 2025-04-29
Central Bank of Russia reports 0.5 million decline in borrower numbers and easing debt burden indicators in 2024 H2
The Central Bank of Russia reported a decline of 0.5 million borrowers in 2024 H2, with total borrowers slightly above 50 million, indicating reduced household over-indebtedness. This trend is attributed to changes in banks' retail lending practices, including smaller and shorter cash loans. Mortgage borrower numbers remained stable at 10.2 million, with fewer long-term mortgages and a reduced reliance on consumer loans for down payments.